Stock Market Opens Higher as Optimism Grows for India-US Trade Agreement

Synopsis

On April 21, the stock market in Mumbai saw a positive opening driven by favorable global cues, with key sectors experiencing varied performance. The Nifty and Sensex indices recorded gains, while analysts anticipate significant developments regarding a potential India-US trade deal.

Key Takeaways

Domestic indices opened higher with positive global signals.
Major private banks reached new all-time highs.
Analysts predict support and resistance levels for market indices.
US Vice President's visit may lead to a swift trade deal.
Investors are keen on corporate commentaries during earnings season.

Mumbai, April 21 (NationPress) The domestic benchmark indices opened on a positive note on Monday, buoyed by favorable global signals, although there was a noticeable sell-off in the IT, PSU bank, and financial services sectors during the early session.

As of 9:29 am, the Sensex was up by 396.06 points or 0.50 percent, reaching 78,949.26, while the Nifty gained 98.20 points or 0.41 percent, standing at 23,949.85.

The Nifty Bank index rose 862.25 points or 1.59 percent, hitting 55,152.45. The Nifty Midcap 100 index was at 52,891.30, having added 233.50 points or 0.44 percent. The Nifty Smallcap 100 index climbed to 16,460.35, gaining 50.15 points or 0.31 percent.

Market analysts suggest that following this positive opening, the Nifty may find support at 23,700, followed by 22,600 and 22,500. On the upside, 24,000 may pose immediate resistance, with further levels at 24,200 and 24,500.

“The Bank Nifty charts indicate potential support around 54,000, followed by 53,700 and 53,500. If the index continues to rise, resistance could appear at 54,500, with subsequent resistance at 54,700 and 55,000," remarked Mandar Bhojane of Choice Broking.

Major private banks led the charge, soaring to record highs. Their quarterly results, released over the weekend, matched market expectations and are expected to further propel the markets, according to experts.

Analysts note that US Vice President JD Vance’s visit to India raises hopes of a swift trade agreement that could alleviate heavier tariffs while keeping a 10 percent baseline tariff.

As the earnings season unfolds, market participants are keenly observing corporate statements for insights into how businesses are adjusting to the new tariff landscape and what they perceive within their supply chains and customer interactions, said Devarsh Vakil, Head of Prime Research at HDFC Securities.

In the Sensex pack, top gainers included Tech Mahindra, Infosys, HCL Tech, HDFC Bank, Axis Bank, and ICICI Bank, while the biggest losers were Asian Paints, Hindustan Unilever Limited, Titan, Sun Pharma, and UltraTech Cement.

In the previous trading session on Thursday, the Dow Jones in the US fell 1.33 percent, closing at 39,142.23. The S&P 500 inched up 0.13 percent to 5,282.70, while the Nasdaq dipped 0.13 percent to finish at 16,286.45.

In Asian markets, both China and Bangkok were observing gains, while Jakarta, Japan, and Seoul were experiencing losses.

Foreign Institutional Investors (FIIs) continued their buying spree for the third consecutive day on April 17, acquiring equities worth Rs 4,667.94 crore. In contrast, Domestic Institutional Investors (DIIs) extended their selling for the third day, offloading equities valued at Rs 2,006.15 crore on the same date.